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Author Topic: I signed a contract from a school (didn't start yet), but I want out  (Read 1414 times)

Offline JohnD

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Can I get to any legal issues if I sign a contract for a school and then cancel it before I start?

Also, this school is not offering a pension, is that legal?


Offline sligo

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #1 on: January 14, 2018, 01:34:13 AM »
a contract is only active between the dates stated.  if it hasn't started yet, then it can be cancelled by either party.  as for pension, they must offer it.

Offline dalkyr

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #2 on: January 14, 2018, 02:29:54 PM »
Like Sligo said, a contract isn't valid until it starts. You can bail at any time before that.

Now, bear in mind that they're not going to be happy. Your recruiter isn't going to be happy. So you might end up needing to find a new recruiter. And if you've sent them your documents, start the process to get new ones, 'cuz you aren't getting them back.

Online Chinguetti

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #3 on: January 15, 2018, 02:32:02 AM »
Paying into pension is required by law, but it doesn't necessarily have to be paid by the employer. It just depends on the kind of employment it is and the employee's work status. If the employer isn't paying, though, the employee is responsible for 100% of the cost and for paying that cost.

If you're teaching on an E2 visa, the employer must pay into pension (50%). That's not negotiable.

If you have an E2 visa and the employer doesn't offer pension, they're likely going to list you as an independent contractor (IC) in order to get out of paying into pension, and placing 100% of the cost responsibility onto you. That's illegal and a huge red flag. E2s can't be ICs, and it can get you deported and the school fined. Schools that do this are normally incredibly shady and will try to **** you over in other ways, too. You can further confirm that they're listing you as an IC by looking at whatever tax rate they should have quoted in the contract. If it's 3%, that's the IC tax rate, although many schools will avoid putting down the exact tax rate to further hide their indiscretion.
« Last Edit: January 18, 2018, 02:46:51 AM by Chinguetti »

Offline JNM

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #4 on: January 15, 2018, 07:43:49 AM »
Paying into pension is required by law, but it doesn't necessarily have to be paid by the employer. It just depends on the kind of employment it is and the employee's work status. If the employer isn't paying, though, the employee is responsible for 100% of the cost and for paying that cost.

If you're teaching on an E2 visa, the employer must pay into pension (50%). That's not negotiable.
...

To elaborate on this, the rate of pension contributions is 9% of the first ~50 million won earned. 
The maximum works out to ~404 000 won per month.

If you contribute for 10 years, you can claim it as a pension.  If you leave before that, you can claim your contributions (and employer's) back, *if your passport nation allows Koreans to do the same.*  This excludes the UK.

Offline CJ

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #5 on: January 16, 2018, 03:05:16 PM »
Can I get to any legal issues if I sign a contract for a school and then cancel it before I start?

Also, this school is not offering a pension, is that legal?

Cancel away with a clear conscience.

I was fired before I even got on the plane for my first job in Korea. I had given up my job back home, bought the plane ticket and 3 days before the flight I was told by my recruiter that they had found someone with an Amercian accent so I wasn't needed. Welcome to Korea!

Offline JohnD

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #6 on: January 16, 2018, 05:31:16 PM »
I'm an F6 visa. Is it still illegal, or can I claim myself as an independent contractor?


Offline JNM

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #7 on: January 16, 2018, 05:53:06 PM »
Pension: Contractors need to pay the full 9% ; employee and employer share.
« Last Edit: January 18, 2018, 07:04:37 AM by JNM »

Online Chinguetti

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #8 on: January 18, 2018, 02:44:49 AM »
I'm an F6 visa. Is it still illegal, or can I claim myself as an independent contractor?
F series visas can work as independent contractors. That's why some schools will only hire F visas, or will prefer them over E2s.

Just keep in mind that you'll be responsible for 100% of your pension payments.

Offline imagicaxx

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Re: I signed a contract from a school (didn't start yet), but I want out
« Reply #9 on: February 28, 2018, 10:21:56 PM »
What happens if your job is cancelled before flying to Korea but you already have the E2 in your passport? Do you still have to wait until the contract term is finished before getting a new job?